Spotify for iPhone shown in video

It works, but will it be allowed?

Spotify is fast becoming the most talked-about music service on the internet, and it seems that its developers have now created a version that works on the iPhone.

For those who are unaware of its existence, we should say that Spotify enables you to stream music on-demand via an iTunes-style application that, once you're signed-up, you can download and install.

The only downside is that you have to listen to the occasional ad, though if you sign up for a premium subscription, these are removed.

Reports suggest that the iPhone version would initially be for these premium users only and offer access to all of Spotify's music catalogue. It would also enable you to cache music so that you could listen to it when you weren't in a Wi-Fi area.

This being the case, it could pose a serious threat to Apple's iPhone version of the iTunes Music Store, which is why some pundits are speculating that Spotify's software won't be granted admission to the App Store.

Time will tell, but if this is the future of mobile music, we like the look of it.